What role can technology play in making operators’ successful? What’s The Next Big Thing in restaurant design? Did the restaurant industry grow in October? Answers to these questions and more This Week in Foodservice.

Just because something can be automated in a foodservice operation, should it be? That was a question Marius Zürcher tackled in an article for the Foodservice Consultants Society International.

As one might expect, the answer contains plenty of nuance. Zürcher, the co-owner and founder of marketing and branding agency 1520 in the Netherlands, rightly points out that AI can help operators address a variety of pressing problems, ranging from reducing food waste to managing energy to improving response times. He also notes that consumers want to feel warmly welcomed when patronizing a restaurant, which is something only a human can do.

So, what’s the key to success? Using that technology in a way that it allows operators to provide genuine hospitality instead of merely managing transactions. While it may sound simple, doing so can be quite the opposite.

Foodservice News

• Despite some moderate growth, the restaurant industry remained in contraction mode in October. The Restaurant Performance Index came in at 99.8 for October, which is 0.4% greater than September. But any reading of less than 100 indicates contraction, which has been the case for four consecutive months. Operators participating in the National Restaurant Association’s study reported an increase in same-store sales but lower customer traffic for the ninth consecutive month. Restaurant operators have a net positive six-month outlook for sales, staffing levels and capital spending, but they do not expect overall economic conditions to improve.
• Kirby Restaurant and Chemical Supply sold its ice machine subscription and service division to Easy Ice. A Texas-based foodservice equipment and supplies dealer, Kirby will continue to operate “its remaining business lines,” per a release announcing the deal. Easy Ice assumed all of Kirby’s ice machine-related operations. Kirby reported annual sales of $38.0 million in 2024, making it the 47th largest foodservice equipment and supplies dealer in the country, per FE&S 2025 Distribution Giants study.
• When it comes to restaurant design, technology remains top of mind. restaurant development + design magazine asked readers to describe The Next Big Thing in restaurant design and the open-ended responses included plenty of references to technology. Topics such as AI, automation and robotics were mentioned repeatedly.
• Generating repeat business has never been more important for restaurants. And that explains, in part, why Subway re-introduced its Sub Club loyalty program. Participants who buy three foot-long subs or six 6-inch subs earn a free footlong sandwich. “A meaningful loyalty ecosystem drives higher frequency and store profitability,” Subway’s Damien Harmon told Restaurant Business. In recent years, Subway’s loyalty program gave customers 10 points for every dollar they spent.
• Restaurants Care is activating a California network of volunteers to support food and beverage workers in need. Part of the California Restaurant Foundation, Restaurants Care came into fruition thanks to a $70,000 grant from Restaurant Giving Circle. The goal of this statewide initiative is “to ensure more restaurant workers are aware of the financial relief resources available to them during times of crisis,” per a release. The RGC is an Atlanta-based nonprofit organization led by veteran hospitality executives “dedicated to uplifting restaurant workers through philanthropy.”
• KFC plans to double its European presence during the next five years. To get the ball rolling, KFC said “ciao!” to Italy in the form of flagship location near the world renowned Trevi Fountain in Rome. This two-floor unit is one of the first in Europe to offer KWENCH by KFC, the chain’s specialty beverage platform that can include such items as lemonades, refreshers, iced coffees, shakes and more. The chain also describes its Rome location as a “digital-first environment.” As part of its European expansion plans, KFC intends to open additional flagship locations across the continent over the coming years. Just last year, for example, KFC opened a flagship location in Prague. KFC has more than 2,200 locations operating in 40 countries, the release added.

Economic News

• For the ninth consecutive month, economic activity in the manufacturing sector contracted in November, per the ISM Manufacturing PMI Report. The study came in at 48.2 in November, which represents a 0.5-percentage point decrease from the previous month. The study’s New Orders Index decreased while the Production Index increased.
• Initial jobless claims declined by 6,000 for the week ending November 22, 2025, per data from the U.S. Department of Labor. For the week-ending November 15, 2025, initial jobless claims totaled 220,000. The 4-week moving average was 223,750, a decrease of 1,000 from the previous week.
• The global economy may be holding up better than many had predicted earlier this year. The 38-country Organization for Economic Cooperation and Development projects the world economy will grow 3.2%, per an Associated Press story. That’s 0.1% less than 2024 but 0.3% more than the OECD’s June projections. The OECD also raised its projection for the U.S. economy to 2.0% growth from 1.6%. Even if the U.S. economy hits that 2.0% growth mark, it will be 0.8% less than its 2024 growth rate.
• Another heavyweight has joined the battle over tariffs. Costco is the latest company to sue the Trump administration over global tariffs. Other companies that have recently entered the fray include Kawasaki Motors and Revlon, per a story from The Economic Times. Costco filed its lawsuit in the US Court of International Trade, saying the company acted because it is unclear whether all businesses will actually get refunds if the tariffs are ruled unlawful. The lawsuit does not say how much the tariffs have cost Costco so far. Costco says it needs fast court action because Customs and Border Protection refused to extend the deadline for finalizing tariff calculations under the International Emergency Economic Powers Act.
• Consumers wasted no time getting into the holiday spirit over the weekend. Newsweek reports consumers spent $6.4 billion on Thanksgiving Day and $11.8 billion on Black Friday, per a Newsweek report citing data from Adobe Analytics. Both were record highs. The news was not all good, however. The same story, this time citing data from Forbes and Salesforce, found order volume declined by 1% year over year, while average selling prices increased by 7%. This would indicate that much of the growth was due to inflation rather than any increased shopping enthusiasm.